Budget 2026: Irish Media and Game Studios Can Maximise the 32% Tax Credit and KEEP Scheme

Published: October 2025
Author: Amergin Consulting Ltd.
Target Audience: Game Developers, Media Producers, Creative Agencies, and Digital Studios (5–50 employees)
Book a meeting: https://calendly.com/amergin-group_free/30min

Executive Summary

Ireland’s creative economy is entering a new financial era. Budget 2026 confirms two major incentives: the extension of the 32% Digital Games Tax Credit (DGTC) and the continuation of the Key Employee Engagement Programme (KEEP) through 2028. Together, these measures form a transformative combination for Ireland’s creative industries: one fuels innovation, the other sustains talent.

For studios and creative SMEs, this means the Irish Government is effectively co-financing your growth—covering up to a third of eligible development costs while empowering you to reward your team tax-efficiently without depleting your cash reserves.

Used strategically, these measures can significantly reshape a studio’s financial landscape—reducing tax exposure, enhancing liquidity, and strengthening investor confidence. Amergin’s Creative Finance Advisory service translates these complex rules into practical strategies, ensuring every eligible euro is identified, claimed, and reinvested.

Quick Facts: Budget 2026 for Creative Industries

1. What’s Changed — and Why It Matters

Budget 2026 solidifies Ireland’s position as a European creative hub. The DGTC, first introduced in 2022, is now extended until 2031—providing long-term certainty for developers and investors alike. Meanwhile, the KEEP scheme has been renewed through 2028, ensuring that small and medium-sized studios can retain top creative and technical talent without straining payroll budgets.

For studios competing globally, these dual incentives reduce both production and employment costs. CFOs and founders can now redirect saved capital into new IP, technology upgrades, or scaling creative teams—forming the three pillars of sustainable growth in a competitive creative market.

2. The 32% Digital Games Tax Credit Explained

The DGTC provides a refundable tax credit equal to 32% of eligible expenditure incurred on the design, production, and testing of qualifying digital games. Unlike standard deductions, this credit operates as a cash rebate—even for companies with little or no taxable profit.

Eligibility Snapshot

• The game must obtain cultural certification from the Department of Tourism, Culture, Arts, Gaeltacht, Sport and Media.

• Eligible costs include staff salaries, freelance contractors, software licenses, equipment, and outsourced services used in development.

• The qualifying spend must fall between €100,000 and €25 million per project.

• The maximum refundable amount is €8 million per project.

Worked Example – Indie Studio

That’s €320,000 in non-dilutive capital—equivalent to raising the same from investors without giving up equity.

Tip: Parts of your project that involve technical innovation—such as proprietary engine development or AI mechanics—may also qualify for the 35% R&D Tax Credit, provided claims remain non-overlapping. Amergin assists studios in structuring both claims efficiently and compliantly.

3. KEEP: Retaining Creative Talent Without Cash Strain

The Key Employee Engagement Programme (KEEP) allows SMEs to grant share options that are exempt from Income Tax, PRSI, and USC upon exercise. Employees instead pay Capital Gains Tax (CGT) when they sell the shares, aligning their rewards with the company’s growth.

For creative studios—where talent retention is critical and cashflow tight—KEEP is an elegant solution. It rewards key contributors with meaningful equity value without depleting the studio’s working capital.

Example – Studio with 15 Staff

Granting each core employee €30,000 in share options under KEEP rules offers a retention package worth €450,000 in gross salary terms—without paying out that amount immediately. Employees feel true ownership; the company preserves liquidity.

Compliance Snapshot

• Applies to unlisted trading companies with turnover ≤ €50m and ≤250 employees.

• Individual cap: €100,000 per year, up to €300,000 total per employee.

• Shares must be ordinary and fully paid.

• Annual Revenue filing required.

Amergin’s team provides full implementation support: valuations, board resolutions, option agreements, and Revenue compliance reviews.

4. Creative Finance in Practice — Combining DGTC and KEEP

When used together, DGTC and KEEP create a powerful financial engine for studios.

Illustration – Mid-Size Studio Project

By combining tax refunds and equity-based rewards, studios can extend their financial runway, reduce dependence on external investors, and motivate their teams for long-term success.

5. CFO Insight: Why Financial Planning Matters More Than Ever

While the incentives are generous, they require meticulous planning and recordkeeping. Studios must maintain clear documentation of qualifying expenses, production milestones, and cultural certification to avoid delays or reductions in credit payments.

This is where CFO-as-a-Service solutions add measurable value.

Amergin’s CFO team for creative industries helps studios:

• Map production budgets to eligible DGTC categories.

• Integrate tax refund timelines into multi-project cashflow forecasts.

• Structure KEEP plans aligned with investor expectations.

• Manage compliance with Revenue and Departmental reporting.

By treating creative incentives as part of strategic finance—not mere tax paperwork—studios can turn public funding into growth capital.

6. The Amergin Advantage: Creative Finance Advisory

Amergin Consulting brings together tax credit expertise, payroll advisory, and CFO-level insight in one integrated solution built for Ireland’s creative SMEs:

•  Digital Games Tax Credit Management: Eligibility review, cost tracking, and claim preparation.

• Film & TV Section 481 Advisory: Budgeting, compliance, and certification support for audiovisual projects.

• CFO-as-a-Service: Ongoing forecasting, management reporting, and strategic finance for studios.

• KEEP Implementation: Valuation, documentation, and Revenue filing.

• Funding & Grant Integration: Combining DGTC with Enterprise Ireland and EU funding opportunities.

Amergin’s mission is simple: to ensure that every euro spent on creative innovation delivers a tangible financial return.

7. Conclusion: Creativity Scales When Finance Is Structured

Budget 2026 reaffirms that Ireland’s creative industries are not peripheral—they’re central to national economic strategy. Studios that blend financial discipline with creative excellence will scale faster, attract top talent, and secure sustainable funding.

The 32% Games Credit and KEEP scheme can transform a project’s economics—but only if managed with CFO precision and strategic foresight. Amergin empowers creative founders to convert incentives into capital and creativity into lasting enterprise value.

Book your free Budget 2026 Planning Session with Amergin Consulting to structure your Creative Finance roadmap and maximise the financial value of your next production.

Schedule a consultation: https://calendly.com/amergin-group_free/30min

About Amergin Consulting Ltd.

Amergin Consulting Ltd. is a Dublin-based chartered accountancy and business advisory firm specialising in Ireland’s creative, technology, and SME sectors. We combine CFO-level strategic insight with deep expertise in tax credits and financial planning to help studios, developers, and agencies grow profitably and compliantly.

Disclaimer

This publication is intended for general informational purposes only and does not constitute financial or tax advice. Budget 2026 measures are subject to the Finance Act 2025. Studios should seek professional guidance before making or submitting claims under DGTC, KEEP, or R&D tax credit provisions.